To: J. D. Main who wrote (142076 ) 9/15/1999 7:46:00 AM From: J. D. Main Respond to of 176387
Pilgrims.....DELL sees growth in Europe---------> Wednesday September 15 7:23 AM ET Dell Sees Growth In Europe, Slow On Buys LONDON (Reuters) - Dell Computer Corp. (Nasdaq:DELL - news) expects to grow significantly in Europe in the coming years, but acquisitions may be slow to come, its chairman and chief executive Michael Dell said Wednesday. Dell, visiting Europe for a number of meetings including a 50 million pound ($80.37 million) IT contract with UK retail bank Barclays Plc, said IT spending in Europe as a percentage of Gross Domestic Product (GDP) was half of that in the United States of 3.5 percent. In Britain, however, IT spending was close to the U.S. level. ``On average there is a pretty dramatic difference. But increasing number of companies are realizing the significance of IT. Certainly we have a role to play there,' Dell told a news conference to announce a three-year contract with Barclays. Dell said the company, the world's second largest supplier of personal computers, had grown considerably in Europe -- revenues from the region currently represent some 20-30 percent of Dell's total revenues. The Texan company, also the leader in selling computers over the Internet, last week announced its first acquisition in its 15-year history of network storage company ConvergeNet Technologies Inc. in a stock deal valued at about $340 million. It has traditionally spurned the notion of acquisitions because of the cost and the difficulty in integrating two sizable companies, and Dell said this had not changed. ``It wouldn't necessarily suggest that we will pick up that pace,' Dell said when asked whether it was interested in making other acquisitions in the U.S. or Europe.J.D.